GBP: Not ready to take a pounding
Cable has rallied back towards 1.6100 but still remains inside recent ranges. The trend remains bullish and I expect to see a test of 1.63ish in coming days. I’m not sure if momentum is strong enough to take it straight higher to 1.65+ and I’m prepared for some 1.58/1.63 range trading over next few weeks.
EUR/GBP looks like a very clear-cut sell-rallies play to me. I’m building a longer-term short position for a move toward .77 minimum and I see all 100 pip rallies as selling opportunities.
(Sorry about that headline pun, pretty sad and so early in the day 🙂 )